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Carphone Warehouse subsidiary Talkmobile has made significant inroads into the UK market thanks to its cheap tariffs, affordable handsets and keenly priced SIM-only contracts.

However, the company could soon find itself fighting for market share with a new mobile virtual network venture from Amazon, according to a report from itproportal.com.

Amazon has yet to comment on the speculation, but the rumours have been lent further credence by the existence of a similar venture from the company in the US, dubbed Amazon Wireless.

Mobile phones currently available on Talkmobile include the hugely popular, touchscreen operated Samsung Tocco Lite and the similarly popular LG Cookie KP500.

Prices for Talkmobile phones start from just £8.49 per month on the company's Simpletexter tariff.

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